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Epixtar Raises $7 Million From Laurus Funds And Laidlaw & Company
Monday, May 9, 2005
Funds Will Be Used To Expand Operations in Philippines
Miami, FL – May 9, 2005 – Epixtar Corp. (OTC BB: EPXR), a global teleservices provider, announced today
the closing of an aggregate $7 million convertible note financing for it and its principal subsidiary,
Voxx Corporation, for $5.5 million from Laurus Master Fund, Ltd. ("Laurus"), a New York-based
institutional investment fund that specializes in providing financing to growing, small and
micro-capitalization companies and for $1.5 million from venture capital affiliates of Laidlaw &
Company (UK) Ltd ("Laidlaw"), a New York-based investment and merchant banking company.
The $7 million financing consists of Senior Secured Convertible Notes (Notes) that will mature on
April 29, 2008 and have an interest rate equal to the Wall Street Journal prime rate plus 2%.
The Notes are convertible into shares of Epixtar’s common stock at a fixed price of $1.00 per share or
into shares of the common stock of Voxx Corporation in the event that Voxx conducts an initial public
offering at a 15% discount to the IPO price.
In addition, Laurus and affiliates of Laidlaw received options to purchase 31% or approximately 4.2
million shares of Voxx Corporation common stock at a price of $0.01 per share, and warrants to purchase
556,596 shares of Voxx common stock at a price, generally, equal to the IPO price.
Chairman and Chief Executive Officer Ilene Kaminsky said, "We are pleased that Laurus and Laidlaw
recognized our commitment to becoming a world-leader in the Business Process Outsourcing (BPO) market and
the tremendous growth opportunities that exist. This funding is an important step in the execution of our
business strategy and will provide us with the resources in order to expand our operations in the
Philippines. With this financing, we will be able to have additional call center facilities in the
Philippines in order to substantially increase our current seat count to 3,000- 5,000 seats by the end of
2005."
Currently, Epixtar operates three call center facilities in the Philippines. The Company’s flagship
call center is located in Eastwood CyberPark and has two other centers in Filinvest Corporate City and
Makati. The company is building a fourth call center in the Clark Special Economic Zone.
Specific details of the transaction are available in the Company's 8K filing.
About Epixtar Corp. & Voxx Corporation
Epixtar Corp., based in Miami, Florida, is the parent company of Voxx Corporation (Voxx).
Voxx, Epixtar's most active subsidiary, is a business process outsourcing (BPO) company -- aggregating
contact center capacity and robust telephony infrastructure to deliver comprehensive, turnkey services
to the enterprise market. From campaign design through ongoing management, Epixtar delivers value-driven,
creative outsourcing solutions for customer relationship management (CRM) and telesales initiatives for
its customers. Clients use the Company's marketing expertise and well-trained personnel to acquire,
support, and enhance the customer experience, reduce costs and generate top-line revenue.
Epixtar/Voxx currently maintains seven contact centers in the Philippines and the United States with
developmental plans for additional centers over the next 24 months.
Forward-looking Statements
This Press Release may contain "forward-looking statements" regarding EPIXTAR'S business,
customers, partners, future products and services, estimates of future business prospects or financial
results, statements regarding EPIXTAR'S objectives, expectations, intentions, beliefs or strategies,
or statements containing words such as "believe," "project," "expect,"
"intend," "may," "anticipate," "plans," "seeks," or
similar expressions. It is important to note that EPIXTAR'S actual results could differ materially from
those in such forward-looking statements, and undue reliance should not be placed on such statements.
All forward-looking statements, which may be contained in this Press Release are made as of the date
that such statements are originally published or made, and EPIXTAR undertakes no obligation to update
any such forward-looking statements. For those statements, we claim the protection of the safe harbor
for forward- looking statements contained in Section 27A of the Securities Act, Section 21E of the
Exchange Act, and the Private Securities Litigation Reform Act of 1995.
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Contact:
Brandi Piacente
Investor Relations
The Anne McBride Company, Inc.
212-983-1702 x208
Email: bpiacente@annemcbride.com
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